January 04 News: On January 4, Jilin Petrochemical primarily uses diethylene glycol (DEG) internally, with no quotations offered for premium-grade products within the plant. The 159,000-ton/year unit mainly produces ethylene oxide (EO), with the load for ethylene glycol (EG)/DEG at approximately 10%. Chempricehub analysis of DEG: Bullish-Bearish Score: 1.5. Jilin Petrochemical primarily uses DEG internally, with no external quotations for premium-grade products, and the unit load is only around 10%, indicating a significant reduction in market supply. This may lead to tight spot supply, which is favorable for spot price increases. Scoring rationale: The supply-side contraction is evident, but it is not an industry-wide event, thus rated between moderate and significant positive. Ethylene Glycol (EG), Bullish-Bearish Score: 1. Jilin Petrochemical's EG production load is as low as 10%, and the supply reduction is favorable for spot prices. Combined with EG futures data, the main contract 2605 closed at 3,803 yuan/ton, with a settlement price of 3,828 yuan/ton, a change of -6, and high open interest but recent price pressure. The reduction in fundamental supply may support the stabilization of futures prices, but short-term data is weak, resulting in an overall rating of moderate positive.
Comments
0